Initiatives that link diversity promotion and work style reform

Human Resource Strategies
In order for our employees to be able to feel happy to be the members of our group, the Daiken Group has been promoting theinitiatives from the perspectives of the promotion of diversity, workstyle reform, human resource development, and promotion ofhealth management. By continuously deploying the measures from four perspectives, we will lead to producing the favorable
cycle, maximizing human resource value by improving individual performance, and improving the entire group’s corporate value.

As shift to more flexible work styles without being bound by the conventional ideas is necessary in order for human resources who have diverse
values to fully exercise their abilities, we link the diversity promotion and the workstyle reform and have been integrally promoting the initiatives, suchas the formulation of the policy and system, refreshing awareness, and education and training for upskilling. Particularly in recent years, with a view tofurther improving corporate value in the medium- to long-term, we have been deploying a number of measures to facilitate the active roles of female
employees. As a result, the percentage of newly graduated females hired, which was approximately 8% in fiscal 2011, increased to approximately 46%
on average of seven years after formulating GP25, and the ratio of female employees has been increasing year after year. These initiatives lead not only
to the active roles of female employees but also to the building of the foundation for the work-style reform and for employees who will be in various life
events to more flexibly work with enthusiasm. We will proceed with the creation of workplaces where diverse human resources can maximally utilize
their abilities from the medium- to long-term perspective.
Trends in the Ratio of Newly Graduated Females Hired and the Ratio of Female Employees Hired

Improvementof Corporate
Value● Promotion of labor saving andautomation● Pursuit of a sense of satisfaction
and job satisfaction

Workstyle Reform

（%）
60
50
40

Maximizationof Human
ResourceValue

Promotion ofDiversity● Development of the humanresource development plan andimprovement of the education
program based on the plan

Human Resource
Development

50

24.2

15.2

16.3

17.4

20.0

13.4

14.5

18.512.8
2016

2017

2018

2019

2020

2021

2022

2026 (Fiscal year)
Goal

23.6

2014

2015

Formulation ofGP25

GP25 1st Stage

GP25 2nd Stage

Workstyle Reform Promotion Policy

Comeback System*Diversity Promotion Policy
Started automatic PC shutdown

GP25 3rd Stage

Total Diversity Index goal setting

Introduced the hourly paid leave system

Trial of working at home

Full-Time Work at Home System

Harassment Prevention Workshop for Department Heads

Diversity Exchange Meeting

Refreshing

Workstyle Reform Declaration
Ikuboss declarations

Upskilling

Female Exchange Meeting ~Deployed it to the contract employees ~Deployed it by job type
Next-Generation Sales Recommendation Project

Harassment Prevention Training

Staggered Working
Hours System
Diversity Management
Training

Diversity Management Training
Communication Exchange Meeting

Explanation meeting for the system to support
the combination of work and childcare

Seminar to support the combination of work and childcare
Seminar to support the combination of work and long-term care

Realization of the growth strategy and development of human resource for the next generation
Believing that cultivating autonomy in our employees is a key for our further growth and persistent corporate value improvement, we haveprovided various training opportunities for our employees to acquire the skills or knowledge needed for each service year, rank, and job type.
From the new medium-term management plan GP25 3rd Stage, we newly established the skill enhancement training and have been enhancing
capabilities required for each rank. Moreover, to develop human resources who can be active in the three markets that are positioned as priority
markets toward the realization of the long-term vision, we will proactively invest in human resource development with a focus on the priority
market enhancement program.
Key Training SystemSenior management candidate development training

Enhancement of businessskills for each rankTraining for new department heads

Finance

Theme

PersonalDevelopment

Accounting
Coaching

Career plan training

Logical thinking(Basic problem resolution version)

Follow-up training after joining the company

Business communication

New employee orientation

Enhancement of the development/
following-up of young employees

Language education

Presentation

Correspondence education

Problem resolution (Practical version)
Training for those promoted

Compliance training

Responsible
person class

Evaluator training
Leadership (Cross-industrial exchange)

Middle level teamleader classPrioritized market
enhancement program

OJT leaders / Mid-career employees / Appointment
as full-time employees / Start-up

Training for new managers

Management school

Managerial
position class

Pre-overseas assignment training

Fiscal 2022 Goals

GlobalDepartment head candidate development training

Follow-up
Training fortraining for
those in theyoung
middle level
young rank in manufacturing
manufacturing employees

Goal: Newly set training attendance rate at 100%

Manufacturing

Manufacturing
technology
training for theleader class

The female
manager ratio
Goal: 2%

By Job Type and ThemeSales

Leader candidate training
for female employees

The percentage of maleemployees taking
childcare leave
Goal: 30%

Skill Enhancement Training

DataDepartment
head class

Training by Rank

Foundation Supporting Value Creation

Three-way meeting at thetime of maternity leave andchildcare leave*Comeback System: A common name for the system to reemploy voluntarily retired persons as full-time employees

The percentage ofFemale executive ratio
leaving work to care
Goal: 8%
Goal: 0%Young employees’ career plan training attendance rate

Fiscal 2022 Results

21.9

20.2

Ability to make decisions

Fiscal 2019 Results

32.6

29.0

Training for female leader candidates

160%0%

20.3

34.0

19.5

Established the Workstyle Reform Promotion Office

Support of theCombination

The female full-time employee ratio
Goal: 20%

The reemployment rateof retired persons
Goal: 90%

30.3

Basics of sales skill
enhancement

51

34.0

Application ofsales skill
enhancement*“The percentage of male employees taking childcare leave” in the total
diversity index is calculated based on the three-year total value tomeasure the progression rate over the years.

2013

37.5

18.9

18.4

Past Key Initiatives

0

The Degree of Attainment of the Eight Items in the Total Diversity Index

100%

2012

22.9
20.0 24.9
17.4
15.9
15.0
14.5

50.0

48.3
42.4

26.1

60

10AwarenessGoal management by our unique indices toward the steady promotion of diversity

The employment rate of persons
with disabilities
Goal: Statutory rate at 100%

13.7

50.0

*Fiscal 2011-2015 include the four plants in Japan absorbed in April 201520

Based on the idea that our employees’ health is the essential foundation for the group’s sustainablegrowth and development, we try to improve every employee’s awareness of health and have started
the initiatives toward the preservation and improvement of mental and physical health. In 2021, weformulated Daiken health management policy and have been putting effort into the improvementof health measures for both aspects of mind and body since then, such as the payment of thehealth promotion allowance, quit smoking challenge to encourage our employees to quit smoking,and the distribution of health videos. In March 2022, we were certified as the Health & Productivity
Management Outstanding Organizations 2022 (Large-Scale Company Category) in the Health &Productivity Management Outstanding Organization Certification System selected by the Ministry ofEconomy, Trade and Industry and Nippon Kenko Kaigi. We will continuously put effort into setting
indices to measure the effects of measures and actively providing support and create a virtuous cycleof the productivity improvement and company growth.

13.1

35.9

53.3

50.0

4.5
2011

30

Implementation of the measures that preserve and promote
the employees’ mental and physical health21.7 16.0

17.8

40
Policy/System

Promotion of Health and Productivity ManagementTo steadily promote the initiatives for the promotion ofdiversity in a balanced way, we have set the total diversity
index from the medium-term management plan GP25 2ndStage in which the eight diversity items were indexed as ourown indices and manage the goals. The total index in fiscal
2022 increased by 30 points from fiscal 2019, which is abenchmark, and surpassed a 20-point increase, which was
the goal in the final fiscal year. In particular, the fact that thepercentage of taking paternity leave* significantly improved
contributed, and the results of the initiatives toward theimprovement of the percentage of taking such leave
emerged, such as the issuance of a guidebook to lead todisseminating the system and refreshing awareness ande-mail newsletters for eligible persons. From fiscal 2023,
we changed part of the items to set goals that are more inline with the issues under the present circumstances andhave been continuing to promote the initiatives as the total
diversity index 3rd Stage.

0● Improvement of support for theemployees’ career design

21.7

18.7

12.4
10 8.326.9

48.3

Strategy for Value Creation● Support for achieving abalance between workand personal constraint,
such as child rearing,nursing care, andmedical treatment

28.63020● Promotion of playing arole without being boundby age and gender

The ratio of newly graduated females hired(Graduate from university/graduate school)
The ratio of newly graduated females hired (Overall)*
The female employee ratio
The female full-time employee ratio

Daiken Group's Value Creation● Institutionalization andestablishment of flexible work
styles52